4. Critical analysis Q5 True or False: Profit-maximizing firms will hire a resource only if they can make money by doing so. True False True or False: In a market economy, each resource will tend to be paid according to its marginal revenue product. Highly productive resources will command low prices, whereas less productive resources will command higher prices. True False

Grey company holds an overdue note receivable of $800,000 plus recorded accrued interest of $64,000. the effective interest rate is 8%. as the result of a court-imposed settlement on december 31, year 3, grey agreed to the following restructuring arrangement: reduced the principal obligation to $600,000.forgave the $64,000 accrued interest.extended the maturity date to december 31, year 5.annual interest of $40,000 is to be paid to grey on december 31, year 4 and year 5. the present value of the interest and principal payments to be received by grey company discounted for two years at 8% is $585,734. grey does not elect the fair value option for reporting the debt modification. on december 31, year 3, grey would recognize a valuation allowance for impaired loans of

Perform a goal seek analysis to find a packing weight that will bring the shipping weight of the retro fit clothing set down to 39.75 lbs. use cell i9 as the cell to set, 39.75 as the target value, and cell f5 as the changing cell. keep the values generated by the goal seek analysis as the value for cells f5, i9, and i10.

Feedback systems do not always involve negative feedback. economic inflation, which is evidenced by continually rising prices, is a positive feedback system. a positive feedback control system, as shown on the right, adds the feedback signal to the input signal, and the resulting signal is used as the input to the process. a simple model of the price-wage inflationary spiral is shown on the right. add additional feedback loops, such as legislative control or control of the tax rate, to stabilize the system. it is assumed that an increase in workers’ salaries, after some time delay, results an increase in prices. under what conditions could prices be stabilized by falsifying or delaying the availability of cost-ofliving data? how would a national wage and price economic guideline program affect the feedback system?